Sensex, Nifty end positive as Tata Motors and NTPC drive momentum

Closing bell: The domestic stock market indices ended on a positive note on Tuesday led by strong gains in Tata Motors, NTPC, and Bajaj Financial Services. The Bombay Stock Exchange’s Sensex settled 100 points or 0.12 per cent higher at 81,455.40. 

The National Stock Exchange’s broader Nifty 50 index ended 21.2 or 0.09 per cent higher to remain above the 24,800 level. The index was led by Tata Motors which gained 3.38 per cent, NTPC gaining 3.24 per cent, and BPCL gaining over 3 per cent in today’s trading session. 

PowerGrid, Titan, Asian Paints, Bajaj Finserve, Adani Enterprises, and Coal India were among the other top winning stocks for the day. However, LTI MindTree, SBI Life, Cipla, and Grasim were the top laggards on NSE today. 

In terms of sectoral performance, the NSE’s consumer stock index gained 1.12 per cent while Oil & Gas, Realty, Private Banks, and Auto were among the other indexes which exhibited positive momentum. Whereas, strong negative momentum was observed in healthcare and pharma stocks. The FMCG stocks index also faced a 1.11 per cent downfall by strong decline in Varun Beverages, Godrej Consumer Products. 

Talking about the market movement in today’s trading session, VLA Ambala, Research Analyst, Stock Market Today said, “According to the index’s RSI reading of 70 for the daily, 77 for the weekly, and 81 for the monthly timeframe, the valuation is extremely high on the upper end.” 

Ambala believes that the high valuation continues to irk traders and investors in the current market scenario. “The reading is comparatively moderate for mid-term to long-term positions. As per my analysis, after touching 25000, we expect a minor pullback in the market. In this situation, market participants may benefit from adopting a ‘sell-on-the-rise’ approach,” she added.